Some ECB members want earlier rate hike

5 July, 2018

The markets remain subdued after yesterday’s 4th of July celebrations in the US. Despite this Oil headlines are dominating the markets once again. US President Trump has restated his call for OPEC to bring down the price of gasoline. He recently backed Saudi Arabia to increase production after he targeted Iran with tougher than anticipated sanctions reducing Iran’s production by up to 1.1M bpd. An Iranian Republican Guard Commander has said that Iran would block the Strait of Hormuz if the US stops Iranian oil sales. Oil has shrugged off the news and is down today after hitting resistance at $73.85 on Tuesday.

In other news some ECB members are said to be troubled about the slow pace of rates hikes, saying that a Sept/Oct 2019 hike is too late. In response the probability of a September rate hike has risen from 69% to 80% along with the EURUSD which is up 0.40% to 1.17000.

German Markit Services PMI (Jun) was out with a number of 54.5 against an expected headline number of 53.9 from 53.9 previously. After reaching a multi-year high in February at 57.3, this data has come back into its range under 56.0 with today’s number beating expectations. German Markit PMI Composite (Jun) was 54.8 against an expected 54.2 from a prior number of 54.2. This shows a stronger reading suggesting a stronger economy.

Eurozone Markit Services PMI (Jun) was out with a number of 55.2 against an expected headline number of 55.0 against 55.0 previously. This reading beat expectations but is still down from the high of 58.0 in February. Markit PMI Composite (Jun) was 54.9 which beat the expected reading of 54.8 and the prior number of 54.8. The improvement in the readings is marginal but still leaves a question mark over the strength of the eurozone economy.

UK Markit Services PMI (May) was 55.1against an expected 54.0 from 54.0 previously. This data is continuing to recover from its fall below 53.0. The number has gained again with this reading setting a new high for 2018. GBPUSD moved higher from 1.31746 to 1.32234 in response to the release.


Source link  
Fed can form new basis for EM

Asian bourses remain moderately optimistic since the end of last week. Expectations are encouraging that the Chinese and Turkish authorities should...

Profit-taking after big sell-off

There is a demand for profit-taking in the markets after powerful movements at the end of last week and a very aggressive trading start...

Hot August for currency markets

This August seems hot. Not only temperature but also currency market volatility is rising. The period of active vacations, which is accompanied by a decrease in volumes...


Dollar is close to its important levels

The demand for dollar, provoked by the fears of new US sanctions against a number of countries and expanding trade conflict with China push the American currency close...

Trump raises stakes in the trade war

Two opposite trends prevail in the global markets. Strong reporting of companies, including Apple indicators supports the demand in world...

USD grows on high GDP expectations

The single currency is traded near weekly lows against the dollar, getting under pressure after maintaining the soft tone of the ECB during the regular meeting...


Facebook failure obscured optimism

Yesterday the markets enjoyed a rare portion of good news on international trade. Trump and Juncker agreed not to introduce new tariffs for the period of negotiations...

Trump tosses dollar from highs

The dollar remained under pressure after the Trump's criticism about the strengthening of the national currency. Despite doubts that the influence of the president...

Oil hits 3-month lows

On Monday, the dynamics of oil was in the spotlight on a combination of negative factors by both the potential demand and the supply part. Asian markets...


In the past 24 hours Bitcoin has lost -3.1% and reached $6310.42395036. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has gained 0.2108% and is now at $1.1431. Start trading and making money on Forex today.

In the past 7 days Ethereum has lost -1.81% and is now at $274.900295332. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets89%
2FXTMFXTM87%
3HYCMHYCM85%
4FxProFxPro80%
5FIBO GroupFIBO Group77%
6FXCMFXCM73%
7AvaTradeAvaTrade68%
8HotForexHotForex67%
9Alfa-ForexAlfa-Forex66%
10XMXM66%
  


Share: